Hagens Berman Sobol Shapiro LLP, a national investor-rights law firm, is investigating Tower Group International, Ltd. (NASDAQ:TWGP) (“TWGP” or “the Company”) for securities fraud following TWGP’s postponed financial results and anticipated reserve change after a recent merger. Investors who have suffered losses and wish to discuss the matter with an attorney can contact Hagens Berman by emailing TWGP@hbsslaw.com.
Investors who purchased TWGP stock between May 9, 2011, and Aug. 8, 2013, (the “Class Period”), inclusive, and who have large losses may qualify to be a lead plaintiff. The deadline to move for the position of lead plaintiff in the case is Oct. 21, 2013. For more information investors are invited to contact Hagens Berman Partner Reed Kathrein, who is leading the firm’s investigation, by calling (510)-725-3000.
Additional information is available at http://hb-securities.com/investigations/TWGP.
Hagens Berman’s investigation centers on TWGP’s Aug. 7, 2013, announcement, in which the company told the public it would postpone releasing its Q2 2013 financial results because it needed more time to “review matters relating to the estimate of its loss reserves,” among other reasons. The next day, the company disclosed guidance for Q2 2013, including adverse reserve development between $60-$110 million.Following the announcement, TWGP stock lost nearly a quarter of its value. “We are investigating to determine whether TWGP had prior knowledge of these issues,” said Mr. Kathrein. “It appears that the company may have kept these issues hidden so as to prevent a derailment of its merger with Canopius Bermuda. If so, the company has to answer to its investors, who lost millions in value when the stock inevitably crashed.” Persons with non-public information may want to consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new SEC whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC.